NEW YORK–(BUSINESS WIRE)–Orangewood Partners, a long-term focused private investment firm, today announced a strategic investment in SERVPRO West Coast DRT, a leading SERVPRO franchisee and provider of residential and commercial property cleaning, restoration, and reconstruction services.
Founded in 2015 and headquartered in Encino, CA, WCDRT has become one of the largest franchisees of SERVPRO, the most-well recognized property restoration brand in North America, developing a reputation as a highly efficient, effective, and respected operator focused on providing excellent customer service. WCDRT operates licensed franchise territories in the greater Los Angeles metro area and partners with national corporations and property owners to provide real-time restoration and reconstruction support. WCDRT has been ranked in the top 2% of all SERVPRO’s franchises every year since 2017 and was recognized as the 2021 Franchise of the Year by SERVPRO. As one of SERVPRO’s 12 designated Extreme Response Team (“ERT”) franchises, WCDRT is equipped to handle very large commercial losses and can quickly mobilize in the event of storms or other catastrophic events.
In partnering with Orangewood, WCDRT plans to accelerate growth across business lines and geographies. WCDRT’s founders and management team – Alan Reed (CEO), Darryn Barber (CFO) and Manny Corral (COO) – will maintain a meaningful equity stake in the Company and continue to lead the business.
Alan Reed, Co-Founder and CEO of WCDRT, said, “This partnership is only the beginning of our Company’s journey, and we couldn’t be more thrilled to work with Orangewood and utilize their vast network and expertise in the real estate and franchise industries. We wouldn’t be here without the hard work and dedication of our loyal team members and customers, who will continue to be key to our success.”
Manny Corral, Co-Founder and COO of WCDRT, said, “For us, it has always been One Team. We are excited about our partnership with the Orangewood team, and we look forward to continuing to offer industry-leading service for our customers.”
Darryn Barber, Co-Founder and CFO of WCDRT, said, “We strive to be the gold standard across the SERVPRO system, and we partnered with Orangewood because they share that vision of excellence. We look forward to working together to foster the Company through its next phase of growth.”
Eric Engler, Managing Director of Orangewood, added, “The SERVPRO West Coast DRT team has built an impressive platform with a team that provides best-in-class service and end-to-end support throughout a project’s lifecycle. We are excited to partner and work closely with Alan, Darryn, and Manny, and we look forward to providing the team with capital and operational support through their next phase of growth.”
Alan Goldfarb, Founder and Managing Partner of Orangewood, said, “We are thrilled to be partnering with SERVPRO and the entire WCDRT team. This investment continues Orangewood’s thematic investment strategy of partnering with franchisee founders and leading franchises within rapidly growing sectors of the economy, where our strategic capital, resources, and operational know-how can help accelerate growth and deliver value to all stakeholders.”
Houlihan Lokey LLC served as exclusive financial advisor to WCDRT, and Stubbs Alderton & Markiles, LLP served as its legal advisor. Diameter Capital Partners provided debt financing for the transaction. Greenberg Traurig LLP served as legal advisor to Orangewood.
Founded in 2015, Orangewood Partners is a New-York-based private investment firm with a long-term approach. Orangewood targets control investments in lower-middle market, founder-led, family-owned businesses in non-cyclical and fragmented industries within business services and consumer services. Orangewood has a particular emphasis on the franchise, multi-unit, health & wellness, and human capital sectors. Orangewood’s dedicated team, along with its network of operating partners and advisors, is critical to the execution of its thematic approach to investing. Orangewood works to build companies into strategic assets in their industries to create long-term value for investors, companies, and communities. Orangewood typically invests between $25M and $100M of equity, targeting businesses with EBITDA ranging from $10M to $25M at entry. For more information, please visit www.orangewoodpartners.com.
ABOUT SERVPRO West Coast DRT
WCDRT provides 24/7 service for emergency services (fire, water, mold, biohazard, asbestos), construction services, and storm response.
Founded in 1967 by the Isaacson family, SERVPRO is a leading national franchisor of residential and commercial fire and water damage restoration services. Since its founding, SERVPRO has now grown to over 2,100 franchisees in the United States and Canada. In 2019, investment funds affiliated with Blackstone acquired a majority stake in SERVPRO as part of its Core Private Equity strategy, which is designed to hold investments for longer periods of time than traditional private equity.